What is Freight Modeling? How does it Account for Disruption?

Freight modeling can hasten transportation movements.

Businesses across the board thrive when they consistently analyze areas to reform or streamline for maximum productivity. Using a strong freight modeling strategy can be a viable and effective way to prepare for possible disruption scenarios and execute a plan to minimize impact to cost and service.

What Is Freight Modeling?

Freight modeling uses analytical tools to run “what if” scenarios so shippers can proactively prepare for various freight scenarios.

Inbound Logistics reports on modeling saying, “Preventive technological approaches can give companies a competitive edge in essential deciding factors. This starts with being proactive, and not reactive, and blazing a new trail for logistics and shipping for the better.”

This type of transportation optimization is best used to analyze options across intermodal methods. Shippers may be able to utilize dynamic routing easily with truck carriers in the face of current or potential problems. 

However, thorough freight modeling helps you consider future scenarios with rail transportation and yard management as well. These transportation management services help you reduce rework and improve visibility into all possible “what-if” scenarios.

How Freight Modeling Improves Shipping Throughput

Shippers who have accurate models on hand can predict lack of space, lack of employees and any other transportation network slow downs. Through the modeling system’s ongoing analysis of information, you can improve throughput because it removes the “what-ifs” and replaces them with “if-then.”
One example is in freight load configuration. When shippers have models, they can proactively alert employees, so they can correctly handle and plan the load. Instead of “what-ifs,” you can know “If” a shipment of odd shaped packages is arriving at a distribution center, “then” you can be alerted to send a detailed loading plan to properly care for each item while also maximizing cargo space.
Because throughput is defined as the product amount that a company can produce and deliver to customers within a designated time, efficiency is a primary motivator. By utilizing freight modeling strategy, shippers can see future issues of inefficiency and correct their methods in the present.

Additional Benefits of Freight Modeling

Shippers who successfully incorporate freight modeling can apply the principles into transportation network modeling. Much of load management is accomplished in selection of the transportation to it’s final destination. By applying the same methods of modeling to the transportation needs of your business, you can make better choices about which carriers to use.

Freight modeling can also consider growth factors and deliver additional benefit. For instance, as ports continue to work through a backlog of containers, shippers have more room to build more relationships with customers and move more product into their hands in a timely manner. One transportation user that sees the need for modeling is the federal government. As the U.S. Department of Transportation creates freight models for its own freight needs, it could be a profitable partnership for shippers who do the same.

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Streamline Freight Modeling to Overcome Disruption With MercuryGate

As shippers look at the freight transportation services landscape, minimizing disruption in your own corner of the supply chain is key.

By utilizing logistics technology to create freight models, you proactively address interferences before they happen or as they happen. Otherwise, you may be left managing the repercussions in the aftermath.

If you’re a shipper who is ready to take this next step toward improving your overall profit and workflow, request a demo with MercuryGate today.

See Freight Modeling in Action With a MercuryGate Demo.


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